Crypto

End Of The Road: FTX Former CEO Sam Bankman-Fried Collared In The Bahamas

After the anticipation, drama and conspiracy theories, Sam Bankman-Fried – the previous president and creator of the fallen crypto exchange FTX – is lastly detained, numerous news outlets reported.

Authorities detained Bankman-Fried on Monday, December 12, in The Bahamas – where FTX is headquartered – after the crypto magnate was criminally charged by U.S. district attorneys.

Bankman-Fried was detained with no unfortunate occurrence.

“Earlier this evening, Bahamian authorities arrested Samuel Bankman-Fried at the request of the U.S. government, based on a sealed indictment filed by the southern district of New York,” Damian Williams, the U.S. Attorney for the Southern District of New York, tweeted, according to Agence France-Presse through The Philippine Star.

Former FTX CEO Sam Bankman-Fried. Image: Spencer Heyfron.

Collared Before Congress Appearance

The arrest happens soon in the past Bankman-Fried’s virtual look prior to the House Financial Services Committee on Tuesday, where he was anticipated to speak on the failure of the cryptocurrency exchange one month earlier.

The Bahamas attorney general of the United States’s workplace provided a press release specifying that they would be holding Bankman-Fried in anticipation of an extradition demand from the U.S. federal government.

His arrest is the very first concrete action taken by authorities to hold people accountable for the multibillion-dollar disaster of FTX.

Rep. Maxine Waters (D-CA), who chairs the House Financial Services Committee, revealed “surprise” at his capture and remorse that the U.S. Congress isn’t going to have the ability to hear his side of the story.

Operating FTX, Bankman-Fried collected billions of dollars in individual wealth. The arrest is a shocking turnaround of fortune for the 30-year-old magnate who called the shots at among the world’s most significant crypto exchanges, which was valued at $32 billion early this year.

Sam Bankman-Fried Facing Multiple Criminal Charges

Celebrities promoted his exchange platform in tv commercials, and the technological prodigy ended up being such a routine component in Washington, where he contributed 10s of countless dollars to numerous political projects.

According to Reuters (through Rappler), FTX, Bankman-Fried’s moms and dads and senior executives of the business obtained over 20 homes in the Bahamas valued over $120 million throughout the previous 2 years.

In a December 12 interview with Forbes, SBF as soon as again blamed Binance CEO Changpeng Zhao for his business’s failure. He declared that “CZ” planned to suppress competitors by damaging FTX.

Bitcoin dropped to a two-year low following the collapse of FTX as financiers feared the business’s concerns would infect other crypto companies, which they did.

Meanwhile, New York Times revealed, pointing out a source with understanding of the scenario, that Bankman-Fried is charged with wire scams, securities scams, wire scams conspiracy, securities scams conspiracy, and cash laundering.

The U.S. Securities and Exchange Commission has actually likewise performed a different set of charges versus SBF.

Some legal professionals state that Bankman-Fried may invest years behind bars if condemned of the charges versus him.

However, U.S. district attorneys need to initially seek his extradition from the Bahamas to New York prior to he can start serving his sentence.



Michael Evans

Professional writer, editor, and producer with over a decade of experience. I'm an experienced editor who has written for a variety of publications, and I specialize in editing non-fiction articles, news, and business blogs.

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